Haji-Ioannou battle with ex-son-in law goes to Greek courts

By Jean Christou

GREEK shipper John Frangos has temporarily won his battle with his former Cypriot in-laws, the Haji-Ioannou family, to release four of his vessels.

The ships, belonging to Frangos’s company Seaways Shipping Enterprises, have been embroiled in a multi-million dollar dispute with his former father-in-law Loucas Haji-Ioannou.

According to the shipping newspaper, Lloyds List, an English judge this week ruled that Haji-Ioannou’s claim to be the rightful owner of the vessels – and others in the Seaways fleet – was a predominantly Greek affair which would better be tried in the Greek courts.

The ruling on jurisdiction has triggered the release of the three ships, which were recently arrested as security for the Haji-Ioannou family’s claims in South Africa, the UK, the Netherlands and the Dutch Antilles.

The squabble dates back nearly four years to the break-up of the marriage between John Frangos and Haji-Ioannou’s daughter, Clelia, and concerns the nature of the $49 million the shipping magnate gave to Frangos in stages between 1990 and 1993.

Haji-Ioannou claims the payments were business transactions for buying ships in trust, while Frangos said the money was a private gift.

The case may now go to Greece in a civil action to be filed by Haji- Ioannou. A company spokesman said they were surprised by the British court’s decision.

“We are considering all options in our efforts to recover our ships and the proceeds from the five ships (Frangos) has sold already. We hope he will not sell any of the remaining ships until there has been a court decision in this case,” the spokesman said.

In Greece, a first instance and an appeal court had earlier decided that Frangos should not face criminal charges, but a final ruling on the criminal track of the case is expected shortly from the bench of the country’s Supreme Court.